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Middle East and Africa Dairy Market Aided by the 15.3% Growth of the Global Dairy Trade in 2020.

According to a new report by EMR titled, ‘Middle East and Africa Dairy Market Report and Forecast 2021-2026, the Middle East and Africa dairy market is being driven by the growing global dairy trade, which increased by 15.3% in value in early 2020, as compared to the previous year. In Q1 of 2020, the global dairy trade was valued at about USD 33.9 billion.

The Middle East and Africa dairy market is being aided by the rising dairy consumption in the region and the increasing imports of dairy products. Dairy consumption, across the world, has been increasing, with fresh dairy products and processed dairy products expected to grow at 2.1% per annum and 1.7% per annum respectively in the forecast period of 2021-2026. The global growth in dairy consumption is also affecting the Middle East and Africa dairy market with a rising consumption of dairy items like butter and cheese. In North Africa, butter and cheese account for almost 11% and 18% respectively of the total dairy consumption in the region. Butter and cheese consumption is expected to contribute to nearly 12% and 13% of the dairy consumption in the Middle East region in the coming five years.

The growing global trade was driven by the rising demand for dairy from Middle Eastern countries like United Arab Emirates and the increasing milk exports from markets in Africa. The global demand for SMP, driven by the processing industry for its application in the preparation of dry mixes, bakery, and confectionary products, is also aiding the global trade of SMP. In 2017, SMP trade expanded by 8.9% globally as compared to 2016. Lower international prices also encouraged countries to buy more SMP. Algeria increased its SMP imports by 42.4% in 2017, as compared to the previous year, attaining 170 thousand tonnes. In 2017, WMP imports also continued to rise in the Middle East and Africa dairy market despite witnessing a decrease in its export share in the global market for a third successive year. The United Arab Emirates increased its imports of WMP by almost 13% from 2016, in 2017. The UAE also increased its imports of milk in 2017 by 17.6%.

Butter and cheese are the other major dairy products imported to the Middle East and Africa with Saudi Arabia and Egypt being the major importers. The growing imports of butter and cheese reflect upon the changing patterns of consumption in the region. The Middle East and North Africa region, specifically, is expected to retain its position as a major import destination for butter and cheese in the forecast period, with Egypt being a significant importer of butter and Saudi Arabia a significant importer of cheese. In 2017, Saudi Arabia cheese imports grew by 3.8% as compared to 2016, to reach 164 thousand tonnes. However, the total volume of dairy exports to the Middle East and North Africa region is falling but is balanced out by the increase in the value of dairy exports, which grew by 3.6% in 2017 due to the rising global dairy prices.

Market Analysis by Type and Regions:

  • The major dairy products available in the Middle East and Africa dairy market are fluid milk, UHT milk, flavoured milk, cream, butter, skimmed milk powder, whole milk powder, whey protein (powder and concentrate), lactose, casein, cheese, yoghurt, ice-cream, probiotic dairy products.
  • Turkey, Saudi Arabia, South Africa, and United Arab Emirates, among others are the major dairy markets considered in the Middle East and Africa by the EMR report.

Key Findings of the Report:

  • Saudi Arabia, United Arab Emirates, South Africa and Egypt are the major markets in the Middle East and Africa dairy market, with Saudi Arabia being the leading dairy producer. 
  • The Middle East and Africa dairy market is being driven by the increasing milk output in Africa, which grew by 1.1% in 2018, as compared to 2017. 
  • Rising population and growing health concerns is aiding the dairy market growth in the Middle East and Africa.
  • Fresh milk and ready-to-drink dairy products like yoghurt are witnessing a rising demand due to being rich in nutrition.
  • The dairy market in the region is receiving further impetus from the growing receptiveness of the customers towards new dairy products like cheese spreads and flavoured milk, among others. 
  • The thriving food and beverage sector is also aiding the growth of the market.
  • The increasing use of dairy products in the fine dining sector like the fondue cheese is further propelling the market forward.

Key Offerings of the Report:

  • The EMR report gives an in-depth analysis of the global as well as Middle East and Africa historical (2016-2020) and forecasted (2021-2026) dairy market.
  • The report analyses the product-wise market for dairy in Middle East and Africa for the periods (2016-2020f) and (2021-2026).
  • It provides the region-wise historical (2016-2020) and future (2021-2026) market and price analysis in the Middle East and Africa.
  • It also offers a detailed trade analysis of the Middle East and Africa dairy market for the year 2020.

SanCor Cooperativas Unidas Limitada, Mastellone Hermanos SA, Nestle S.A., Cooperativa Central Dos Produtores Rurais De Minas Gerais Ltda, Groupe Lactalis, Alpina Productos Alimenticios S.A., and Lacteos Betania SA are the key players in the Middle East and Africa dairy market. The report looks in-depth into their market share, capacity, and latest developments like capacity expansions, mergers and acquisitions, and plant turnarounds.

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Expert Market Research (EMR) is a leading market research and business intelligence company, ensuring its clients remain at the vanguard of their industries by providing them with exhaustive and actionable market data through its syndicated and custom market reports, covering over 15 major industry domains. The company's expansive and ever-growing database of reports, which are constantly updated, includes reports from industry verticals like chemicals and materials, food and beverages, energy and mining, technology and media, consumer goods, pharmaceuticals, agriculture, and packaging.

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